MREIT Inc., the real estate investment trust of property giant Megaworld, recorded a 29 percent year-on-year increase in distributable income to P935 million in the third quarter of 2025, driven by the contribution of six newly-acquired office properties in 2024, higher occupancy, and sustained rental escalations.
Revenues surged 42 percent year-on-year to P1.43 billion during the quarter as MREIT continued to strengthen its portfolio performance in preparation for the next wave of growth amid improving market conditions.
For the first nine months of 2025, distributable income rose 27 percent to P2.8 billion, while revenues grew 33 percent to P4.13 billion, supported by sustained tenant demand and cost efficiency across its portfolio.
MREIT’s portfolio occupancy rose to 92 percent as of end-September 2025, improving by around 300 basis points from the previous quarter with the successful onboarding of traditional and BPO tenants across its office towers.
MREIT is also anticipating regulatory approval to increase its authorized capital stock to P8 billion from P5 billion, which will enable the company to acquire new assets in its upcoming wave of property infusions. For this next round, MREIT is looking at 10 office properties—nine buildings in McKinley Hill and one in Eastwood City—with a combined gross leasable area of around 198,500 square meters.
After completing this round of office infusions, MREIT is also preparing to begin the acquisition of several mall assets to further diversify its portfolio. This will allow investors to benefit from the strong retail performance and record-high occupancy of Megaworld Lifestyle Malls.
The planned infusion will be based on the valuation of the properties and subject to compliance with the REIT Law’s minimum public float requirements. Once approved and completed, these assets will expand MREIT’s portfolio by about 41 percent to 680,000 sqm, from the current 482,000 sqm.
“Our strong performance this quarter reflects not only the resilience of our office portfolio but also our readiness for the next wave of growth,” Jose Arnulfo Batac, president and chief executive officer of MREIT Inc., said in a statement Nov. 13. “With market conditions turning more favorable, we are well-positioned to pursue our long-term expansion plans and deliver sustained value to our shareholders.”
Following its third quarter results, MREIT declared cash dividends of P0.250478 per share, payable on Dec. 19, 2025 to stockholders on record, as of Dec. 1 this year. This translates to an annualized dividend yield of 7.3 percent, based on the last closing price of P13.66 per share, as of Nov. 12, 2025.
MREIT’s portfolio consists of prime office assets located within Megaworld’s townships, including Eastwood City, McKinley Hill, McKinley West, Iloilo Business Park, and Davao Park District. The company continues to focus on delivering accretive acquisitions and stable dividends to its shareholders.
MREIT targets to expand its gross leasable area to one million square meters by 2027, leveraging Megaworld’s extensive pipeline of high-quality, income-generating properties to fuel the next phase of its growth. ||
